PRESENTATION FOR SHAREHOLDERS - AviaSG · CONSOLIDATED FINANCIAL INFORMATION FOR 3Q 2016 15 November, 2016 ... ASG Group’s Financial Results in 3Q 2016 ASG Group’s Revenue, Net

PRESENTATION FOR SHAREHOLDERS CONSOLIDATED FINANCIAL INFORMATION FOR 3Q 2016

15 November, 2016

ASG Group’s Development in 3Q 2016

ASG Group’s Structure / Areas of Activity

ASG Group’s Financial Results in 3Q 2016

ASG Group’s Revenue, Net Profit

Sales / Operating Profit Breakdown by Business Segments

Consolidated Balance Sheet

ASG Group’s CAPEX

ASG Group’s Employees

ASG Share Price & Performance

ASG Shareholders

Content

1

ASG Group Development in 3Q 2016

Financial Parameters:

2

Increase in consolidated revenue from continuing operations by EUR 61 million, by 37% (2016 9m vs 2015 9m) primarily due to: increased revenue from aircraft fuel sales; sustainable growth increase in demand for spare parts and consumables, line maintenance

services; Significant growth increase in demand for helicopter MRO services; development of private jet charter, flight and tour operations segment;

EUR 8 104 thousand (increase of 174% comparing to 9m 2015) of operating profit;

EUR 6 044 thousand (increase of 193% comparing to 9m 2015) of profit attributable to equity holders of the parent;

3







ASG Group’s CAPEX



ASG Shareholders


MRO Segment (12 companies)

GH & Fuelling Segment (7 companies)

Training Segment (2 companies)

Private Jet Charter, Flight and Tour Operations

(4 companies)

FL Technics UAB (100%) Jet Maintenance Solutions UAB (100%)

Locatory.com UAB (95%) FLT Trading House UAB (100%)

FL Technics Line OOO (93%) FL Technics Ulyanovsk OOO (99%)

Storm Aviation Ltd. (100%) Storm Aviation Cyprus Ltd. (100%)

Helisota UAB (100%) Kauno aviacijos gamykla UAB (100%) FL Technics Asia Co. Ltd. (99.997%) Avia Technics Dirgantara PT. (25%)*

BAA Training UAB (100%) AviationCV.com UAB (100%)

Baltic Ground Services UAB (100%) Baltic Ground Services Sp.z.o.o (100%) Baltic Ground Services TOV UA (50%)

Baltic Ground Services RU OOO (100%) Baltic Ground Services EE OU (100%) Baltic Ground Services LV SIA (51%)

Baltic Ground Services CZ s.r.o. (100%)

KlasJet UAB (100%) Laserpas UAB (90%)

KIDY Tour UAB (100%) KIDY Tour OÜ (100%)**

* - the Group holds control over an investee ** - the Company was acquired on 16 September 2016

4

5







ASG Group’s CAPEX



ASG Shareholders


6

3Q 2016 3Q 2015 Change (3Q 2016 vs 3Q

2015) EUR thousands (except margins & EPS & numbers of shares) 9M 2016 9M 2015

Change (2016 9M vs 2015

9M)

88 625 58 519 +51% Revenue from continuing operations 224 149 163 072 +37%

4 664 1 808 +158% EBITDA from continuing operations 12 810 6 946 +84%

5.3% 3.1% +2.2 p.p. EBITDA margin (%) 5.7% 4.3% +1.4 p.p.

3 022 (13 282) +123% Operating profit from continuing operations 8 104 (10 948) +174%

3.4% -22.7% +26.1 p.p. Operating profit margin (%) 3.6% -6.7% +10.3 p.p.

2 427 (13 650) +118% Profit before income tax from continuing operations 6 879 (11 419) +160%

2 038 (12 720) +116% Net profit for the period from continuing operations 5 787 (10 798) +154%

2.3% -21.7% +24 p.p. Net profit or the period from continuing operations margin(%) 2.6% -6.6% +9.2 p.p.

- 5 220 - Net profit for the period from discontinued operations - 4 112 -

2 038 (7 500) +127% Net profit for the period 5 787 (6 686) +187%

2 122 (7 568) +128% Net profit attributable to equity holders 6 044 (6 469) +193%

2.4% -12.9% +15.3 p.p. Net profit attributable to equity holders margin (%) 2.7% -4% +6.7 p.p.

0.273 (1.636) +117% EPS from continuing operations (EUR) 0.777 (1.382) +156%

- 0.663 - EPS from discontinued operations (EUR) - 0.550 -

0.273 (0.973) +128% EPS (EUR) 0.777 (0.832) +193%

3 018 4 285 -2.6% CAPEX (additions of PPE and intangible assets) 5 134 8 832 -42%

3 980 10 358 -62% Cash at the end of period 3 980 10 358 -62%

7 778 7 778 - Weighted average number of ordinary shares (thousand) 7 778 7 778 -







ASG Group’s CAPEX



ASG Shareholders

7

Increase by 37% in Group’s revenue from continuing operations (2016 9m vs 2015 9m);

Increase by 51% in Group’s revenue from continuing operations (2016 3Q vs 2015 3Q).

ASG Group’s Revenue

8

42

41

35

40

42

43

39

50

50

45

45

59

59

66

57

78

89

3Q 2012

4Q 2012

1Q 2013

2Q 2013

3Q 2013

4Q 2013

1Q 2014

2Q 2014

3Q 2014

4Q 2014

1Q 2015

2Q 2015

3Q 2015

4Q 2015

1Q 2016

2Q 2016

3Q 2016

9





Sales/Operating Profit Breakdown by Business Segments


ASG Group’s CAPEX



ASG Shareholders

ASG Group’s Revenue by Business Segments

10

* - Group’s revenue from continuing operations

Group’s revenue breakdown in 3Q 2016 by business segment was 38% MRO / 54% GH & Fuelling / 4% Training / 4% Business charter.

21

23

21

22

21

28

25

29

25

27

25

31

24

40

34

37

34

19

16

12

15

19

13

12

18

23

15

17

25

30

22

19

35

48

2

2

2

3

2

2

2

3

2

2

2

2

2

3

3

3

3

-

-

-

-

-

-

-

-

-

1

1

1

2

1

1

2

4

3Q 2012

4Q 2012

1Q 2013

2Q 2013

3Q 2013

4Q 2013

1Q 2014

2Q 2014

3Q 2014

4Q 2014

1Q 2015

2Q 2015

3Q 2015

4Q 2015

1Q 2016

2Q 2016

3Q 2016

MRO segment

GH & Fuelling segment

Crew training and staffing segment

Private jet charter, flight and touroperations segment

Sales / Operating Profit Breakdown by Business Segments, 3Q 2016

11

* Segments’ share in Sales and Operating Profit calculated based on total Sale/ Operating Profit value (including intercompany transactions)

Business Segments’ Revenue to external

customers (mln EUR)

Business Segment’s Operating Profitability

(mln EUR)

Tendencies of Business Segment’s

Operating Profitability (percent)

+36% 2016 1Q

vs 2015 1Q

25 24

2 1

24

30

2 2

34

48

3 4

MRO segment GH & Fuelling segment Crew training and staffingsegment

Private jet charter andflights operations

segment

3Q 2014

3Q 2015

3Q 2016

-0,2

0,8 0,1

1,3

0,1

1,3 1,3 0,5

-0,3-14,7

-1%

-61%

4%

4% 4%

3% 4% 6%

14%

Sales / Operating Profit Breakdown by Business Segments, 9M 2016

12

* Segments’ share in Sales and Operating Profit calculated based on total Sale/ Operating Profit value (including intercompany transactions)

Business Segments’ Revenue to external

customers (mln EUR)

Business Segment’s Operating Profitability

(mln EUR)

Tendencies of Business Segment’s

Operating Profitability (percent)

+36% 2016 1Q

vs 2015 1Q

+29% 1HY 2016

vs 1HY 2015

79

53

7 1

80 72

7 4

105 102

9 7

MRO segment GH & Fuelling segment Crew training and staffingsegment

Private jet charter andflights operations segment

9M 2014

9M 2015

9M 2016

2.0 0.9 0.5

2.3 0.7

5.8

2.7 0.8

-13.5

3%

-17%

5%

2%

3% 3%

7%

9% 8%

Operating Data by Business Segments, 3Q 2016 & 9M 2016

13

3Q 2016 3Q 2015 Change,

% 9m 2016 9m 2015

Change, %

Number of SOLD man-hours (base maintenance)

78 891 62 106 +27.0% 320 646 335 271 -4.4%

Number of SOLD man-hours (engineering)

15 248 10 807 +41.1% 45 729 39 564 +15.6%

Number of SOLD man-hours (maintenance training)

5 558 2 097 +165.0% 10 750 8 052 +33.5%

Number of line stations (at the end of the period)

23 20 +3 23 20 +3

Number of aircraft served 3 369 3 631 -7.2% 8 757 9 685 -9.6%

Number of passengers served

666 294 677 235 -1.6% 1 645 512 1 618 463 +1.7%

Volume of fuel sold (tonnes) 67 286 49 351 +36.3% 151 028 111 960 +34.9%

TRTO - Number of sold theoretical training hours

3 466 1 614 +114.7% 8 961 7 217 24.2%

TRTO - Number of sold practical training (FFS) hours

4 677 2 674 +74.9% 15 325 8 173 +87.5%







ASG Group’s CAPEX



ASG Shareholders

14

Net debt = Borrowings – Cash and cash equivalents

Equity ratio = Total equity / Total assets

Gearing ratio = Net debt / (Net debt + Total equity)

Consolidated Balance Sheet (1)

30-09-2016 31-12-2015 30-09-2016 vs

31-12-2015 EUR thousand

139 630 119 988 +16% Total assets

3 980 5 613 -29% Cash and cash equivalents

60 810 43 017 +41% Trade receivables

57 201 51 138 +12% Total equity

30 325 27 728 +6% Borrowings

26 345 22 115 +19% Net debt

1.3 1.3 - Liquidity risk

41% 42% -1 p.p. Equity ratio, %

32% 30% +2 p.p. Gearing ratio, %

15


16

30-06-2016 31-12-2015 31-09-2016 vs


139 630 119 988 +16% Total assets 3 980 5 613 -29% Cash and cash equivalents


57 201 51 138 +12% Total equity

30 325 27 728 +6% Borrowings

26 345 22 115 +19% Net debt




21%

4% 4%

43%

22% 3% 0%

0% 3%

Property, plant and equipment

Intangible assets

Deferred income tax assets

Trade and other receivables

Inventories

Amount due from customers for contract work

Prepaid income tax

Short-term bank deposits

Cash and cash equivalents


17

30-09-2016 31-12-2015 31-09-2016 vs


139 630 119 988 +16% Total assets



57 201 51 138 +12% Total equity

30 325 27 728 +6% Borrowings 26 345 22 115 +19% Net debt




23%

60%

17%

Bank borrowings

Borrowings from other related parties

Bank overdraft

Finance lease liabilities

Other borrowings


18

30-09-2016 31-12-2015 31-09-2016 vs


139 630 119 988 +16% Total assets



57 201 51 138 +12% Total equity

30 325 27 728 +6% Borrowings 26 345 22 115 +19% Net debt




65%

32%

3%

Aircraft and Helicopter Maintenance, Repair andOverhaul (MRO)

Aircraft Ground Handling and Fuelling

Crew Training and Staffing

Private jet charter, flight and tour operations segment


19

30-09-2016 31-12-2015 31-09-2016 vs


139 630 119 988 +16% Total assets



57 201 51 138 +12% Total equity 30 325 27 728 +6% Borrowings 26 345 22 115 +19% Net debt




4%

57%

38%

Share capital

Share premium

Legal reserve

Merger reserve

Fair value reserve

Cumulative translations differences

Retained earnings

Non-controlling interests







ASG Group’s CAPEX



ASG Shareholders

20

ASG Group’s CAPEX

Capital Expenditure (CAPEX, EUR million)

21

2,1

3,4

1,6 2,0

3,0

5,8

1,3 1,4

0,8 1,3 1,3

3,3

4,2

0,6 1,2

1,0

3,0

-

1,0

2,0

3,0

4,0

5,0

6,0

3Q

2012

4Q

2012

1Q

2013

2Q

2013

3Q

2013

4Q

2013

1Q

2014

2Q

2014

3Q

2014

4Q

2014

1Q

2015

2Q

2015

3Q

2015

4Q

2015

1Q

2016

2Q

2016

3Q

2016







ASG Group’s CAPEX



ASG Shareholders

22


Number of full-time employees at the end of period Breakdown of the Group’s employees by business segments (30-09-2016)

23

929

951

972

1022

1051

1342

1342

1437

1499

1534

1595

1631

1799

1674

1712

1795

1874

30-09-2012

31-12-2012

31-03-2013

30-06-2013

30-09-2013

31-12-2013

31-03-2014

30-06-2014

30-09-2014

31-12-2014

31-03-2015

30-06-2015

30-09-2015

31-12-2015

31-03-2016

30-06-2016

30-09-2016

62%

25%

7% 2%

4%

MRO

GH

Training

Private Jet Charter,Flight and Tour

Unallocated

24







ASG Group’s CAPEX



ASG Shareholders


ASG (from 04-01-2016 till 10-11-2016)

04-01-2016: 15.58

High: 24.09

Low: 12.15

12-08-2016: 22.00

Prices in PLN

25

26







ASG Group’s CAPEX



ASG Shareholders

ASG Shareholders

On 3 March 2011 shares of the Avia Solutions Group AB were introduced to trading at Warsaw Stock Exchange (code: AVIASG). The authorised capital of the Company is divided into 7 777 777 ordinary shares with a par value of EUR 0.29 each.

1 Part of shares and votes

Amount of shares and votes

15-11-2016 31-12-2015 15-11-2016 31-12-2015

29.44% 29.44% ZIA Valda Cyprus Ltd. 2 290 045 2 290 045

10.71% 10.71% Vaidas Barakauskas 832 666 832 666

10.10% 10.10% VGE Investments Limited 785 216 785 216

8.99% 8.99% Mesotania Holdings Ltd. 699 115 699 115

7.78% 7.78% Harberin Enterprises Limited 605 227 605 227

5.01% 5.01% Nationale-Nederlanden Otwarty Fundusz Emerytalny 390 000 390 000

27.97% 27.97% Other 2 175 508 2 175 508

100.00% 100.00% Total 7 777 777 7 777 777

Shareholders, holding more than 5 per cent of the share capital and votes, as on 15 November 2016:

27

29%

11% 10%

9%

8%

5%

28%

ZIA Valda Cyprus Ltd.

Vaidas Barakauskas

VGE Investments Limited

Mesotania Holdings Ltd.

Harberin Enterprises Limited

Nationale-Nederlanden Otwarty Fundusz Emerytalny

Other

Thank You For Your Attention

www.AviaSG.com/InvestorRelations

http://www.aviasg.com/en/InvestorRelations

Documents

PRESENTATION FOR SHAREHOLDERS - AviaSG · CONSOLIDATED FINANCIAL INFORMATION FOR 3Q 2016 15 November, 2016 ... ASG Group’s Financial Results in 3Q 2016 ASG Group’s Revenue, Net